Yhe US capital markets had a strong week, and the Nasdaq index led the major indices with a gain of 2.77%. Year to date, the Nasdaq is up 2.9%, while the Dow is down 1.5% for the year and the S&P 500 is flat.
Commodities had a strong week as well, with crude oil up over 8%, closing at $67.35 per barrel. The spike was primarily caused by the OPEC report showing a decrease in production in March. Gold was up almost 1% for the week as well. Volatility was down overall compared to the last few weeks, and the VIX index (fear indicator) was down 19% for the week, but is still up 58% overall for the year.
In other economic and political news, President Trump is looking into rejoining the Trans-Pacific Partnership (trade agreement, among other aspects) after pulling out last year. The markets are still focused on the impact of upcoming tariffs, which were in the spotlight again after the first quarter trade report came out and showed that the trade deficit with China grew by 20% over the previous year. It is still expected that both the US and China will be increasing tariffs on goods here shortly. Tensions between Russia and the US spiked again this week, after the Russian-backed Syrian regime was found to have made a biological attack on the rebel forces in Syria, causing harm to many civilians. President Trump announced a retaliation in the form of targeted bombings, which are reported to be complete and which accomplished their objectives.
Overall, the week was a good one for the markets, and it is beginning to feel like the markets are getting back on track after a rough 5 prior weeks.
Good luck,
Brian